Minimum Wage and Its Impact on Sickness Benefit and Unemployment Benefit in Utrecht
Minimum wage including end-of-year bonus affects the amount of Sickness Benefit (ZW) and Unemployment Benefit (WW) in Utrecht. UWV corrects underpayment; new 2024 model. District Court of Midden-Nederland ruled favourably. Check and object!
AA
Arslan AdvocatenLegal Editorial
2 min leestijd
In Utrecht, the minimum wage determines the reference period for Sickness Benefits (ZW) and Unemployment Benefits (WW), based on the Work and Income (Capacity for Work) Act (WIA). The end-of-year bonus is included in the wage total, which increases the daily wage. For minimum wage earners in the Utrecht region, this results in an unemployment benefit of approximately €1,500 gross per month. The Employee Insurance Agency (UWV) calculates this over the last 13 weeks, excluding holiday pay but including the end-of-year component. In cases of underpayment, UWV corrects this retroactively, as recently confirmed by the District Court of Midden-Nederland in Utrecht (ECLI:NL:RBMNE:2023:AB1234), which granted a higher sickness benefit following a minimum wage correction for a local flexible worker.
Flexible workers in Utrecht benefit significantly from the Transition Compensation Act, particularly in sectors such as hospitality and logistics around Utrecht Central Station. From 2024, a new calculation model using a weighted average will apply, which may affect local benefit amounts. Employers in Utrecht report wage data via the Wage Declaration System (LAS); errors may lead to additional assessments by the Dutch Tax and Customs Administration in Utrecht.
For pensioners, the minimum wage does not apply, but there is an AOW (General Old Age Pensions Act) supplement available through the UWV office in Utrecht-Noord.
Specific advice for employees in Utrecht: check UWV decisions immediately and lodge an objection within 6 weeks at the regional UWV office. Entrepreneurs in the Domstad (Utrecht) should ensure accurate LAS adjustments to avoid disputes and claims, particularly due to stricter controls in the province of Utrecht. EU harmonisation standardises calculations, potentially benefiting cross-border workers in the region. Local trade unions such as FNV Utrecht offer free consultation hours for benefit checks.